VerifyMe (NASDAQ:VRME) versus ARB IOT Group (NASDAQ:ARBB) Critical Comparison

ARB IOT Group (NASDAQ:ARBB) and VerifyMe (NASDAQ:VRME) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, dividends, risk, institutional ownership, profitability and valuation.

Profitability

This table compares ARB IOT Group and VerifyMe’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ARB IOT Group	N/A	N/A	N/A
VerifyMe	-9.30%	-16.79%	-10.89%

Institutional and Insider Ownership

14.8% of ARB IOT Group shares are owned by institutional investors. Comparatively, 8.8% of VerifyMe shares are owned by institutional investors. 24.1% of VerifyMe shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility and Risk

ARB IOT Group has a beta of 3.4, indicating that its stock price is 240% more volatile than the S&P 500. Comparatively, VerifyMe has a beta of 0.63, indicating that its stock price is 37% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for ARB IOT Group and VerifyMe, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ARB IOT Group	0	0	1	0	3.00
VerifyMe	0	0	2	0	3.00

ARB IOT Group presently has a consensus price target of $8.00, indicating a potential upside of 1,409.43%. VerifyMe has a consensus price target of $2.85, indicating a potential upside of 112.69%. Given ARB IOT Group’s higher possible upside, research analysts plainly believe ARB IOT Group is more favorable than VerifyMe.

Valuation and Earnings

This table compares ARB IOT Group and VerifyMe’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ARB IOT Group	$51.86 million	0.27	$5.53 million	N/A	N/A
VerifyMe	$25.31 million	0.54	-$3.39 million	($0.23)	-5.83

ARB IOT Group has higher revenue and earnings than VerifyMe.

Summary

ARB IOT Group beats VerifyMe on 8 of the 11 factors compared between the two stocks.

About ARB IOT Group

ARB IOT Group Limited, through its subsidiaries, provides Internet of Things (IoT) system solutions, and system integration and support services in Malaysia. It offers IoT smart home and building solutions, such as design, procurement, and provision of smart home products and devices; integration services; and electrical wire installation and home data network setup for homeowners, as well as provides smart building solutions, including design, procurement, installation, testing, pre-commissioning and commissioning of various IoT systems, solutions, and devices; and integration of automated systems for smart buildings, including installation of wire and wireless, and mechatronic works for property developers and contractors. The company offers IoT smart agriculture solutions, such as designing the layout of the smart farm for the application and integration of IoT in farming and hydroponics, which includes the procurement of sensors and surveillance cameras, as well as other hardware for farm; designing of software to enable transfer of data from the smart farm to a cloud server, which can then be accessed remotely through smart devices; installing, testing, and commissioning of the hardware and software; and after-sales services comprising data analytics and periodic maintenance services. In addition, it provides IoT system development solutions, including procuring, supplying, and delivering industrial building systems for construction projects; and IoT gadget distribution solutions comprising supply chain and distribution of smart phones, accessories, and ICT and IoT products, as well as provides shipping tracking and status updates, customer care line, online chat support, digital marketing, pre-installation, and warranty services. The company was incorporated in 2022 and is based in Kuala Lumpur, Malaysia. ARB IOT Group Limited is a subsidiary of ARB Berhad.

About VerifyMe

VerifyMe, Inc., together with its subsidiary, PeriShip Global, LLC, operates as a technology solutions provider that specializes in products to connect brands with consumers and providing brands with end-to-end logistics management for their products. The company operates through two segments, VerifyMe Solutions and PeriShip Global Solutions. The VerifyMe Solutions segment offers technology solutions to connect brands with consumers allowing brand owners to gather business intelligence while engaging directly with their consumers. Its solutions provide brand protection and supply chain functions, such as counterfeit prevention, traceability, consumer engagement solutions, and authentication for labels, packaging, and products, as well as tamper-proof labels. The PeriShip Global Solutions segment offers predictive analytics for optimizing delivery of time and temperature sensitive perishable products. This segment's products include PeriTrack customer dashboard, an integrated web portal tool gives its customers an in-depth look at their shipping activities based on real-time data. It also provides call center, pre-transit, post-delivery, and weather/traffic services. The company has a strategic partnership with INX International Ink Company. The company was formerly known as LaserLock Technologies, Inc. and changed its name to VerifyMe, Inc. in July 2015. VerifyMe, Inc. was incorporated in 1999 and is headquartered in Lake Mary, Florida.